Leading in Challenging Times

Talent Management

Ajoyendra Mukherjee

Head – Global HR

Analyst Day, Mumbai

12 February 2008

- 1 -

Agenda

• Current State

• Challenges

• New HR Organization – Empowered Units

- 2 -

Total Employees: 108,229

Lowest Attrition in the Industry : 12.2% LTM, including BPO

*FY04 FY05 FY06 FY07 Q3 08

Tata Consultancy Services Indian Subsidiaries

33,774

45,714

66,480

89,419

108,229

* Data as on Q3 FY08

Current State

Largest IT company in India with lowest attrition

- 3 -

• Talent Acquisition

• Talent Management / Competency Development

• Talent Retention

• Cost Management

Challenges

- 4 -

1.2 MM

Arts

500K

Technical

Graduates

2.3 MM

Other

Graduates

3.1 MM

Graduates300K

PG and

Doctoral 565K

Commerce

505K

Science

• 800K (25.8%) is the current

target pool for IT Services

• Another 505K to 1 MM (up to

30%) can be trained to

deliver IT Services

• Transformation for

Availability to Suitability

Source: Nasscom, TCS-GCP Research

Talent Acquisition : Expanding the Pool

Innovative Sourcing- Right Person for the Right Job

- 5 -5

No of Offers as per Category of City

Total Offers made: 22,295

• 95.5% Day 1 slots achieved

265 Institutes visited

• B.Sc hiring for IGNITE

1,410 science graduates have

joined

• Total Institutes Accredited: 412

Talent Acquisition : Campus (FY 09)

Strong Academic Alliances & Employer of Choice

- 6 - 6

Talent Acquisition : Global

• Lateral Hires

Over 2,000 overseas lateral

hires in the last 3 quarters

• In-sourced

Over 500 employees

in the last 3 quarters

• AIESEC

Global Technology Partner

Leveraging global network

of over 100 countries

• Campus 73 overseas Universities

Acquiring talent globally through multiple channels

- 7 - 7

Talent Management

• Initial Learning Programme (ILP)

Engineering & Management Graduates

11,918 associates were covered under ILP

Non-Engineering Graduates (IGNITE)

Intelligent computerized tutorials from MIT and CMU

• Continuous L&D to build domain and technical competencies

Alliances with 14 academic institutions globally

10,859 employees certified in the last 3 quarters

• Global Expansion of Training Infrastructure

Training infrastructure in India, US, Uruguay, China and Hungary

Continuous competency enhancement at all levels globally

- 8 - 8

Talent Management– Leadership Development

8

Dealing with challenges of a global

business

Large Project Management

Business Communication

Project & client relationship management

Senior

Middle

Next Generation

Leaders

Upcoming Leaders

Managing Diversity

Managing business units & Global

customers

Tailored programs for building future leaders

- 9 - 9

Talent Retention

• Performance Driven Culture

Biennial performance appraisal mechanism

Linking performance to variable pay

Reward & recognition mechanisms

• Employee Engagement Program

Cultural Events, Higher Education Sponsorships, Mentoring

• Avenues to meet career aspirations

Role-based organization

Digitized processes to manage competency development and career aspiration

• Increased Touch-points

Townhalls, Dip-Stick surveys, grievance redressal, external surveys, associate

satisfaction survey

Creating an environment that cares & provides an avenue to grow

- 10 - 10

Cost Management

• Pyramid structure

• Leverage GNDM for global talent

• Variable and role based compensation

• Productivity improvements through assets, tools and processes

Global skills & competencies at optimized cost

- 11 - 11

New HR Organization – Empowered Units

• HR Function Tightly Integrated with Operations

• Uniform & consistent policy formulation at corporate level

• Deployment responsibility with unit HR Head to drive agility and

responsiveness to business and employee needs

• Integrating unit performance with Variable Pay

• Focus on developing future leaders

Agile & Responsive structure to meet the demands of future business growth

12

• Ranked Number One in the DQ–IDC IT Best Employer Study consecutively for

2007, 2006, 2005, 2004

• Recognized among the Top 10 Best Employers in the Hewitt Study 2006

• National Award for Innovative Training Practices for year 2006 by ISTD

• Winner of the Golden Peacock National Training Award - 2006

• Winner of the Golden Peacock Award for CSR (Asia) - 2007

• ‘Recruitment & Staffing Leader of the year’ Award – RASBIC India 2006. 2007

• Largest IT Services organisation in Asia

• Sustained growth across businesses. The true ‘Full Services Player’

• Partnership with academia based on trust and commitment

• Recognized by the industry

The Best Choice

Leading in Challenging Times

Talent Management